The Balance in the Prepaid Rent Account Before Adjustment at the End

Multiple Choice

The balance in the Prepaid Rent account before adjustment at the end of the year is $12,000 and represents three months' rent starting on November 1. The adjusting entry required on December 31 is

A) debit prepaid rent, $4,000; credit rent expense $4,000.
B) debit prepaid rent, $8,000; credit rent expense, $8,000.
C) debit rent expense, $12,000; credit prepaid rent, $12,000.
D) debit rent expense, $8,000; credit prepaid rent, $8,000.